Manage overtime settingsLast updated on 09/09/2022
Set overtime rates for your technicians to match local regulations. Check with your regional labor board before changing overtime settings.
Things to know
If you use Flexible Overtime, you can assign custom overtime profiles. Note: This feature requires account configuration. Please contact Technical Support for details.
You can assign overtime profiles to all hourly employees: technicians and office employees. Note: Account configuration is required to use Office Timesheets. Please contact Technical Support for details.
Understand overtime profiles
Overtime profiles are based on rules that trigger overtime pay based on:
Hours worked per day
Hours worked per week
Number of consecutive workdays in a week
You can assign employees one of several default overtime profiles.
Standard Overtime
Standard Overtime with Double Overtime
CA Overtime
For weekly overtime:
For daily overtime:
If the employee works six days in a row, on the seventh day:
Note: If the number of weekly overtime hours (hours over 40 in a week) is different from the total daily overtime hours (hours over 8 in a day), the larger number is used to calculate overtime pay.
For example, a technician works:
46 hours in a week, resulting in 6 weekly overtime hours
10 hours on both Monday and Tuesday, resulting in 4 daily overtime hours
They qualify for 6 hours of overtime.
CA Overtime with Double Overtime
For weekly overtime:
For daily overtime:
If the employee works six days in a row, on the seventh day:
Note: If the number of weekly overtime hours (hours over 40 in a week) is different from the total daily overtime hours (hours over 8 in a day), the larger number is used to calculate overtime pay.
For example, a technician works:
46 hours in a week, resulting in 6 weekly overtime hours
10 hours on both Monday and Tuesday, resulting in 4 daily overtime hours
They qualify for 6 hours of overtime.
4 Day 10 Hour Workday
For weekly overtime:
For daily overtime
5 Day 8 Hour Workday
For weekly overtime:
For daily overtime:
Assign overtime profiles to technicians
Go to the navigation bar and click Settings
.
In the side panel, click People >Technicians.
In the table of technicians, click Edit for the technician whose overtime settings you want to change. The Edit Technician screen opens.
Click the Payroll tab.
From the Overtime dropdown located in the Hourly Pay section, select an overtime profile:
When you’re finished, click Save Changes.
Assign overtime profiles to office employees
Go to the navigation bar and click Settings
.
In the side panel, click People>Employees.
In the table of office employees, click Edit for the employee whose overtime settings you want to change. The Edit Employee screen opens.
Click the Payroll tab.
From the Overtime dropdown located in the Hourly Pay section, select an overtime profile:
When you’re finished, click Save Changes.
Run reports on overtime
Run the Timesheet Exception: Overtime Alert report to quickly identify overtime hours so you can manage labor costs and flag incidents of time clock mismanagement.
You can build custom reports that include overtime from the following report templates:
These legacy reports also include overtime:
Calculate overtime for multiple hourly rates
Multiple hourly rates are factored into overtime pay calculations.
For example, a technician with the CA Double Overtime overtime profile is paid the following rates:
Regular job rate - $30/hr
Training - $20/hr
In one week, they log the following hours:
45 job hours * $30/hr = $1,350 regular pay
5 training hours * $20/hr = $100 training pay
Their hourly pay for the week for 50 total hours = $1,450.
Based on their overtime profile, they qualify for overtime pay:
8 overtime hours
2 double overtime hours
Their overtime pay is calculated using the overtime premium and the double overtime premium.
Calculate overtime premium
The overtime premium is based on an average of total hourly pay for that week. It's calculated as follows:
Overtime premium is calculated as the following:
[hourly pay] / [total hours worked] * .5
In the example, the technician’s overtime premium for the week is:
[$1,450] / [50 total hours worked] * .5 = $14.50/hr
Their overtime pay for the week is:
$14.50/hr * [8 hours of overtime] = $116
Calculate double overtime premium
The double overtime premium is calculated as follows:
[overtime premium] * 2
In the example, the technician’s double overtime premium for the week is:
$14.50 * 2 = $29/hr
Their double overtime pay for the week is:
$29/hr * [2 hours of double overtime] = $58
The technician’s total weekly pay is:
$1,450 (hourly) + $116 (overtime) + $58 (double overtime) = $1,624
Important note: Some features may not be currently included in your account and additional configuration may be required. Please contact technical support for details.